how does the government and money work etc

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05-04-2021
Social Studies

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how does the government and money work etc

Sagot :

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ubbi786 ubbi786 · Answer 1 · 2021-04-05T09:13:06-04:00

ubbi786 ubbi786

05-04-2021

Explanation:

The Fed creates money through open market operations, i.e. purchasing securities in the market using new money, or by creating bank reserves issued to commercial banks. Bank reserves are then multiplied through fractional reserve banking, where banks can lend a portion of the deposits they have on hand.

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